Hong Kong has joined the list of countries approving spot exchange-traded funds (ETFs) for Bitcoin (BTC) and Ether (ETH). The Hong Kong Securities and Futures Commission (SFC) has conditionally approved the first spot BTC and ETH ETFs. Several Chinese asset managers, including Harvest Fund Management, Bosera Asset Management, and China Asset Management, will soon launch their spot Bitcoin and Ether ETFs. Bosera will collaborate with HashKey Capital, while OSL Digital Securities will act as the sub-custodian for ChinaAMC and Harvest. The SFC’s conditional approval allows the ETFs to be launched as in-kind ETFs, with new ETF shares issued using BTC and ETH. This in-kind creation model enhances market liquidity and allows for uninterrupted trading flows. While the approval in principle brings the launch closer, the exact trading start date is still uncertain. The Hong Kong Stock Exchange will finalize the listing procedures and other arrangements in approximately two weeks after the SFC’s approval.
First Bitcoin and Ether ETFs approved in Hong Kong